Massachusetts has established comprehensive regulations under 454 CMR 27.00 to clarify and expand upon the state’s wage laws. Below, we’ll explore key aspects of these standards to help employers and employees better understand their rights and responsibilities.
Minimum Wage and Overtime Provisions
Basic Minimum Wage
Employers must pay at least the basic minimum wage unless explicitly granted a waiver under specific legal conditions.
Tipped Employees
The total compensation for tipped employees, including the service rate and tips received, must equal or exceed the basic minimum wage. To comply, employers must:
- Notify employees in writing about tipping regulations and the service rate.
- Ensure employees retain all their tips, unless tips are distributed via a lawful tip-pooling arrangement.
- Pay employees the full minimum wage if the tipping conditions are not met.
Overtime Pay
Non-exempt employees are entitled to overtime pay at 1.5 times their regular hourly rate for any hours worked over 40 in a single week. For tipped employees, the overtime rate is calculated based on the basic minimum wage rather than the service rate.
Reporting Pay
Employees who report for scheduled work of three or more hours must receive at least three hours of pay at the minimum wage if they are sent home early.
On-call Time
Employers must compensate on-call time unless the employee can freely use the time for personal purposes while waiting to be called.
Travel Time
- Ordinary Commutes: Travel between home and work is not compensable.
- Employer-required Travel: Travel beyond ordinary commutes for work purposes is compensable and must be paid at the applicable rate.
Sleeping Time
For employees working shifts of 24 hours or more, meal and sleep periods may be excluded from compensable hours if these periods are pre-agreed in writing and remain uninterrupted.
Permissible Deductions
Employers are allowed to make deductions from an employee’s wages only under specific conditions:
- Lodging: Employers may deduct lodging costs from wages, but only if the employee has voluntarily agreed in writing. The maximum allowable deduction is $35 per week for single occupancy. The lodging provided must meet safety and health standards as outlined by relevant regulations.
- Meals: Employers may deduct the cost of meals, up to $6.00 per day for three meals, provided the employee voluntarily accepts them. The meals must meet reasonable nutritional and quality standards.
- Other Authorized Deductions: Employers may deduct for items such as health insurance premiums, union dues, or retirement contributions, but only if the employee has explicitly authorized these deductions in writing.
Uniforms
If a uniform requires special cleaning or maintenance, the employer must either provide the cleaning services or reimburse the employee. Uniforms that are “wash and wear” do not require employer reimbursement.
Prohibited Deductions
Employers may not deduct fees or costs from employees’ wages unless explicitly permitted by law. Unauthorized deductions, including those for cash shortages, breakages, or customer theft, are strictly prohibited and may lead to legal penalties.
Notice and Recordkeeping
Employers are required to:
- Post notices in the workplace outlining minimum wage laws, in both English and any other language spoken by at least 5% of the workforce.
- Maintain detailed and accurate records of hours worked, wages paid, and deductions made for a minimum of three years.
- Provide employees with access to their employment records within 10 business days upon request.
Conclusion
Massachusetts is known for its detailed employee-friendly laws. The above are just a few examples. For comprehensive details, consult the full text of 454 CMR 27.00 or reach out to Rudolph Friedmann for further guidance.